Quarterly Performance & Business Outlook
Annexure ‘C’
Quarterly Performance & Business Outlook
Q3 & 9M FY2016
Unique, Distinctive, Disruptive Disclaimer
Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like government actions, local political or economic developments, technological risks, and many other factors that could cause its actual results to differ materially from those contemplated by the relevant forward-looking statements. Balaji Telefilms Limited (BTL) will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances. The content mentioned in the report are not to be used or re-produced anywhere without prior permission of BTL.
2 Unique, Distinctive, Disruptive Table of Contents
About Balaji Telefilms 4 - 9
Financials 10 - 32
Television 33 - 35
Motion Pictures 36 - 40
3 Unique, Distinctive, Disruptive About Balaji Telefilms About Balaji Telefilms
A leading entertainment house in India since 1994
Demonstrated ability to create high quality content
Executed over 15,000 hours of television content in Hindi, Tamil, Telugu, Kannada, Malayalam and Bengali entertainment across genres
Owning 19 modern studios and 31 editing suites - more than any Indian company in Media Entertainment Sector
Strong presence in Hindi General Entertainment Channels (GECs) and Regional GECs across India
Moved towards HD programming to enhance viewing experience
Youngest entrant in motion pictures - quickly recognized amongst the top 5 studios in film production in India
Expanding presence in Motion Pictures across genres and budgets – ALT Entertainment & Balaji Motion Pictures
Successfully launched brand EK and Alt Digital Media Entertainment Limited, the digital foray of Balaji Telefilms Limited Unique, Distinctive, Disruptive Board of Directors
Jeetendra Kapoor - Shobha Kapoor - Managing Chairman Director Jeetendra Kapoor is a popular movie star Shobha Kapoor has been instrumental in throughout the 1970s and 1980s and has transforming the Company from its small starred in more than 200 Movies in his 45- year beginnings in 1994 to India’s largest TV content career company
Since inception, Mrs. Kapoor has been hands on He has won a number of awards including the in the Company’s operational management and Filmfare Lifetime Achievement Award, the efficiency and in controlling ‘on set’ activity Legends of Cinema Award and the Dadasaheb Phalke Academy Award Works closely with Business Heads helping them discharge their responsibilities
His extensive relationship in the Indian Her stellar work in building the Balaji brand entertainment industry proved to be extremely made her win several awards including CEO of beneficial for the Company in its formative the Year (Indian Telly Awards), Businesswoman years and he continues to open new frontiers of the Year (The Economic Times) and numerous for the Company Best Producer awards for their TV shows
Tusshar Kapoor - Director
Tusshar Kapoor is a certified MBA (Masters in Business Administration) from the Michigan University in the United States
His first movie with Kareena Kapoor titled ‘Mujhe Kuch Kehna Hai’ shot him to immediate stardom and bagged him prestigious awards such as Filmfare Awards and Zee Cine Awards for being the Best Male Debutant of the Year
His maturity as a seasoned actor has been visible in numerous Movies such as ‘Khakee’ and was nominated in the category of Best Supporting Actor in various renowned Bollywood Awards 6 Private and Confidential Unique, Distinctive, Disruptive Board of Directors (cont’d)
D.G. Rajan - Independent Director Arun Kumar Purwar - Independent Director
Mr. Arun Kumar Purwar joined as A Chartered Accountant and Fellow of the Independent Director of the Balaji Institute of Chartered Accountants in Telefilms Limited. on May 20, 2015 England and Wales, and the Institute of Chartered Accountants of India Currently the Chairman of ILFS Renewable Energy, one of the largest Currently, the Advisor and Management renewable energy company of the Consultant for many domestic and Country International Groups He also works as an Independent Director in leading companies across diverse sectors like Power, Solar Energy, Telecom, Steel, Engineering Consultancy, Pharma
Ashutosh Khanna - Independent Director
Heads the Global Consumer Markets practice of Korn/ Ferry International’s New Delhi office
Leverages the deep relationships he has built within the marketing and advertising fraternity to work closely with clients for senior level placements in the industry
7 Private and Confidential Unique, Distinctive, Disruptive Board of Directors (cont’d)
Mr. D. K. Vasal - Independent Director Mr. V. B. Dalal - Independent Director Over 30 years of experience in the Over 40 years of experience in Audit and service and manufacturing industry Direct Taxation and also handled international assignments in internal and Was a Senior Equity Partner in one of the operational audits in U.K, Portugal, Kenya, leading law firms of India, Group Legal and Indonesia Counsel of Vedanta Plc, Sterlite Group; Head of Legal (India Region) Standard An academic experience of more than 10 Chartered Bank, Senior Advisor of Bank years as part time lecturer in Accountancy, of Baroda; Executive Vice President and having worked with the Dahanukar College Head Legal & Compliance of DCB Bank of Commerce and Economics affiliated to Ltd; Head Legal – a new-generation University of Mumbai. private sector bank (now HDFC Bank) He is Director on Board and Chairman of Audit Committee of M/s Maharashtra Polybutanes Limited and M/s Oxides and Specialties Limited and is a Proprietor of V.B Pradeep Sarda - Independent Director Dalal & Co
The Chairman of the Sarda Group of Companies and the Chairman of the Governing Board of the Ecole Mondiale World School
Experienced in multiple industry verticals, including paper, engineering, construction and real estate
8 Private and Confidential Unique, Distinctive, Disruptive Strong promoter group and management team credentials
Ekta Kapoor, SAMEER NAIR Joint Managing Group CEO Director
A content maestro- the creative brain behind TV and media veteran with a stellar track Balaji record She is a leading Indian TV and film producer. Under Former Programming Head, COO, CEO of Star her creative guidance, Balaji has won almost every India, and Founder/CEO of NDTV Imagine, major TV award later christened Turner General Entertainment Her stellar work in creating a large content Networks. conglomerate at a young age garnered her several Chairman of PROMAX India from 2005-2011 distinguished awards” The Economic Times and the only Indian representative on the (Businesswoman of the Year 2002), E&Y board of PROMAX Worldwide (Entrepreneur of the Year 2001) and the American Catapulted Star Plus to pole position in 2000 Biographical Institute (Woman of the Year 2001) by launching game changers such as Kaun IMPACT placed her at the No. 3 position among ‘50 Banega Crorepati (KBC), Kyunki... Saas Bhi Most Influential Women’ in the Indian marketing, Kabhi Bahu Thi and Kahaani Ghar Ghar Kii advertising and media ecosystems A proven track record of leading, managing Her Bollywood movie productions include blockbusters and mentoring large, young creative and such as Shootout at Lokhandwala, The Dirty Picture, revenue teams in the media and Shaadi Ke Side Effects among others entertainment space
9 Unique, Distinctive, Disruptive Performance Overview – Q3 & 9M FY16
10 Financial Highlights – Q3 & 9M FY16 (Standalone)
Results for Q3 FY16
Revenues at ` 720.3 million {` 572.7 million in Q3 FY15} - growth of 26%
EBITDA is ` 180.5 million {` 42.5 million in Q3 FY15} - growth of 325%
Other income includes interest income on loan given to subsidiaries/LLP ` 86.7 million (Q3 FY15 ` Nil) in accordance with Section 185 of the Companies Act, 2013
Profit after tax is ` 206.6 million {` 30.9 million in Q3 FY15} - growth of 569%
Yeh Kahan Aa Gaye Hum, Nagin and Pyar Ko Ho Jane Do were new shows aired during the quarter
Hours for Commissioned programs increased to 294.5 hours as compared to 277.0 hours in Q3 FY15 - growth of 6%
Average realisation per hour for the quarter ` 2.42 million {` 2.06 million in Q3 FY15} - growth of 17%
Results for 9M FY16
Revenues at ` 1,916.0 million {` 1,462.5 million in 9M FY15} - growth of 31%
EBITDA is ` 345.1 million {` 50.7 million in 9M FY15} - growth of 581%
Other income includes interest income on loan given to subsidiaries/LLP ` 86.7 million (9M FY15 ` Nil) in accordance with Section 185 of the Companies Act, 2013
Profit after tax is ` 354.8 million {` 26.6 million in 9M FY15} - growth of 1234%
Hours for Commissioned programs at 702.5 hours as compared to 704.0 hours in 9M FY15 - decline of (0.6%)
Average realisation per hour was at ` 2.41 million {` 2.05 million in 9M FY15} - growth of 18%
Investment in mutual fund units at the nine month period ended December 31, 2015 ` 566.2 million (at cost)
Investment in BMPL is ` 300.0 million as equity and ` 2,073.5 million as advances for the upcoming movie projects 11 Unique, Distinctive, Disruptive
Show report for the quarter ended December 31, 2015
Sr.No Shows Channel Time Schedule
1 Ye Hai Mohabbatein Star Plus 19.30 - 20.00 Monday – Sunday
2 Naagin Colors 20.00 – 21.00 Saturday - Sunday
3 Kuch Toh Hai Tere Mere Darmiyaan* Star Plus 20.30 -21.00 Monday – Saturday
4 Pavitra Bandhan Do Dilo Ka DD National 20.30 - 21.00 Monday – Friday
5 Kalash-EK Vishwaas Life Ok 20.30 - 21.00 Monday – Friday
6 Kumkum Bhagya Zee 21.00 - 21.30 Monday – Saturday
7 Pyaar Ko Ho Jaane Do* Sony 21.30 – 22.00 Monday – Friday
8 Ye Kahan Aa Gaye Hum &TV 21.30 – 22.00 Monday – Friday
9 Meri Aashiqui Tum Se Hi Colors 22.00 - 22.30 Monday – Friday
10 Itna Karo Na Mujhe Pyaar(off-air in Nov’15) Sony 22.30 - 23.00 Monday – Thursday
11 Gumrah – 5 Channel V 19.00-20.00 Sunday
* Off-air in Q4 FY16
12 Unique, Distinctive, Disruptive Financial Performance – Q3 FY16 (Standalone)
Total Income EBIDTA 720 181
573
511
93
. . Million . Million Rs Rs 43
Q3 FY15 Q2 FY16 Q3 FY16 Q3 FY15 Q2 FY16 Q3 FY16
PAT Topline growth of 25.8% over Q3 FY15 owing to launch of three new shows during the quarter Improving operating efficiencies leading to growth in EBITDA
207 of 321%
Other income includes:
. . Million 103 Income from investments amounting to ` 43.8 million Rs (Q3 FY15: 28.6 million) 31 ` Interest income on loan given to subsidiaries/LLP ` 86.7 million (Q3 FY15 ` Nil) in accordance with Section 185 of Q3 FY15 Q2 FY16 Q3 FY16 the Companies Act, 2013
13 Unique, Distinctive, Disruptive Financial Performance – 9M FY16 (Standalone)
Total Income EBIDTA
345
1,916
1,463
Miilion
. . . Million
Rs Rs 51
9M FY15 9M FY16 9M FY15 9M FY16
PAT Previous period expenses included ` 46.18 million provided for diminution in the value of investments 355 Other income includes:
Income from investments amounting to ` 114.4 million (9M FY15: ` 36.7 million)
. . Million Interest income on loan given to Rs 27 subsidiaries/LLP ` 86.7 million (9M FY15 ` Nil) in accordance with Section 185 of the Companies Act, 2013 9M FY15 9M FY16
14 Unique, Distinctive, Disruptive
Financial Performance – Q3 & 9M FY16 (Standalone) `
YoY Comparison QoQ Comparison YoY Comparison
Particular in Million Q3 FY16 Q3 FY15 % PY Q2 FY16 % PQ 9M FY16 9M FY15 % PY
Revenue from Operations 720.32 572.71 26% 511.09 41% 1,915.97 1,462.54 31%
Other Operating Income 51.15 12.56 307% 20.91 145% 81.29 27.94 191%
Total Operating Revenue 771.48 585.28 32% 532.00 45% 1,997.26 1,490.47 34%
Cost of Production 515.76 476.05 8% 363.07 42% 1,430.90 1,218.93 17% Gross Margin 204.57 96.66 112% 148.02 38% 485.07 243.61 99% Gross Margin % 28.4% 16.9% - 29.0% - 25.3% 16.7% - Staff Cost 46.78 40.31 16% 47.7 -2% 137.42 106.52 29% Other Cost 28.44 26.39 8% 28.04 1% 83.80 114.29 -27%
EBITDA 180.50 42.53 324% 93.22 94% 345.14 50.75 580%
Depreciation 24.35 19.18 27% 19.69 24% 63.29 57.26 11%
Other Income 131.58 28.68 359% 64.43 104% 208.24 49.60 320%
Finance Cost - 2.60 - - - - 2.79 -
PBT 287.73 49.42 482% 137.97 109% 490.08 40.29 1116%
Current tax 81.18 18.50 339% 34.91 133% 135.33 13.69 889%
PAT 206.56 30.92 568% 103.06 100% 354.75 26.60 1234%
15 Unique, Distinctive, Disruptive Revenue Details
Show Type Revenue for the Quarter & Year Ending (` Million)
Dec-15 Sep-15 Dec-14 Sep-14 YTD Dec-15
Commissioned 712.7 482.8 572.7 447.8 1,695.6 Programs Realisation Per Hour 2.42 2.43 2.06 2.05 2.41
Total Programming Hour for the Quarter & Year Ending Hours Dec-15 Sep-15 Dec-14 Sep-14 YTD Dec-15
Programming Hours 294.5 199.0 277.0 219.0 702.5
16 Unique, Distinctive, Disruptive Key Operating Highlights – Q3 & 9M FY16 (Consolidated)
Television
Successfully launched three shows on various GEC’s
− Pyaar Ko Ho Jaane Do on Sony from Monday to Friday – October 20, 2015
− Yeh Kahan Aa Gaye Hum on &TV from Monday to Friday – October 26, 2015
− Naagin a finite series of 55 episodes of one hour programming on Colors on Saturday and Sunday – November 1, 2015
Various non-fiction ideas under negotiations with leading GEC’s
Nach Baliye was successfully aired on Star Plus and was concluded during the nine months period
Contd……
17 Unique, Distinctive, Disruptive Key Operating Highlights – Q3 & 9M FY16 (Consolidated)
Brand EK
Balaji forayed into the fashion segment with “Brand EK - By Ekta Kapoor”, a premium and affordable brand for apparels and accessories launched amidst fanfare at the Television Style Awards on Colors TV in May, 2015
The fashion line is currently exclusively available on snapdeal.com in the ecommerce space and Best Deal TV in the TV commerce space
At present, with its exclusive range of ethnic wear and jewellery for every occasion, the label boasts of products that not only connect to the traditional woman, but also to the modern Indian woman
Targeting the Indian women who aspire to dress like their favourite on-screen characters, the brand is well received by its target group
– Given the momentum, we believe this venture could generate good revenues with a healthy margin
− YTD revenues stood at ` 8.0 million, operating profit at ` 3.6 million
Contd……
18 Unique, Distinctive, Disruptive Key Operating Highlights – Q3 & 9M FY16 (Consolidated)
Balaji Motion Pictures Limited
‘Kya Kool Hai Hum 3’ released on January 22, 2016
‘Azhar’ a sports biopic on the controversial cricketer Mohammad Azharuddin: in post production stage – expected release Q1 FY17 (May 2016)
‘Udta Punjab’ a dramatic take on the music and drug culture of Punjab, starring big stars Shahid Kapoor, Kareena Kapoor, Alia Bhatt & Diljeet Dosanj: in post production stage - expected release Q1 FY17 (June 2017)
‘XXX’ a youth genre film in the LSD space – expected release Q1 FY17 (June 2016)
‘Flying Jat’ a super hero film with franchise potential, shooting in progress – expected release Q2 FY17 (Aug 2016)
‘Grand Masti’ 3rd part of Super Hit Franchise Masti & Grand Masti, in post production – expected release Q3 FY16 (Oct 2016)
’Half Girlfriend’ Romantic film based on the best selling book by Chetan Bhagat and directed by Mohit Suri starring Arjun Kapoor & Shraddha Kapoor – expected release Q4 FY16 (Feb 2017)
A robust future pipeline of movies more then 20 movies in development
Contd…… 19 ‘ Unique, Distinctive, Disruptive Key Operating Highlights – Q3 & 9M FY16 (Consolidated)
Alt Digital Media Entertainment Limited(Alt Digital Media)
The Company is foraying into the B2C digital content business segment, the next growth driver of the Company’s operating strategies, through its wholly owned subsidiary ALT Digital Media
Backed by best-in-class technology, ALT Digital Media will operate as subscription video on demand (SVOD) based over the top (OTT) platform targeted towards Urban Indians and Indian Diaspora
Leveraging Group’s unmatched position and creative abilities in both television and film content, ALT Digital Media will create highly differentiated, original digital content for the entire connected ecosystem spanning mobile devices, web, smart TVs and game stations
ALT Digital Media is reflective of the Company’s strategic intent to build a consumer facing brand by creating enjoyable, engaging content for digital audience globally and monetising the incredible potential of original on-demand entertainment
Event Media LLP
Successfully aired ‘Mother’s Day’ a special event on Star Plus
Various event ideas under negotiations with leading GEC’s
20 Unique, Distinctive,Contd…… Disruptive
Key Operating Highlights – Q3 & 9M FY16 (Consolidated)
Chhayabani Balaji Entertainment Private Limited
Star Jalsa
o Music realty show of 1 hour on Sunday, to be telecast from 2nd week of March’2016, Pre- production in progress and promo shoot scheduled in the 1st week of February’2016
o Daily fiction show - 6 days/week (Telecast date to be decided)
o Launched "Sohagi Sindoor" from Monday to Saturday at 10 pm – January 18, 2016
o 3 days/weekly series of 1 hour programming each (Telecast date to be decided)
Zee Bangla
o Daily fiction programing 6 days/week travel love stories (Telecast date to be decided)
Marinating Films Private Limited
Licensed the Box Cricket League Punjab regional rights to Xaam Media to be aired on 9X Tashan from March, 2016
Box Cricket League – Season 2 - To be telecast in Q4 FY16
India’s Super Shopper – One of a kind interactive game show on YouTube
Telly Calendar, 2016 Taiwan – Executed and launched in December, 2015
21 Unique, Distinctive, Disruptive
Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 (Consolidated)
Results for Q3 FY16
Revenues at ` 731.5 million {` 715.3 million in Q3 FY15} – growth of 2%
EBITDA profit/(loss) is ` 126.0 million {(` 69.0) million in Q3 FY15}
Profit/(loss) after tax is ` 66.4 million {(` 69.5) million in Q3 FY15}
Results for 9M FY16
Revenues at ` 2,006.4 million {` 2,657.2 million in 9M FY15} – decline of 25%
Revenue for the previous period was higher due to release of movies namely Main Tera Hero, Kuku Mathur Ki Jhand Ho Gayi and Ek Villian as compared to no release during the current period
EBITDA profit/loss is ` 241.1 million {(` 19.8) million in 9M FY15}
Profit after tax is ` 160.2 million {(` 39.8) million in 9M FY15}
Contd…… 22 Unique, Distinctive, Disruptive Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 – Balaji Motion Pictures Limited(BMPL)
Results for Q3 FY16
Revenues at ` 11.2 million {` 1.2 million in Q3 FY15} – growth of 833% EBITDA (loss) is (` 36.5) million {(` 100.2) million in Q3 FY15} Finance cost on loan taken from BTL ` 81.9 million (Q3 FY15 ` Nil) in accordance with Section 185 of the Companies Act, 2013
(Loss) after tax is (` 120.2) million {(` 89.0) million in Q3 FY15}
Results for 9M FY16
Revenues stood at ` 38.1 million {` 988.9 million in 9M FY15} Revenue for the previous period was higher due to release of movies namely Main Tera Hero, Kuku Mathur Ki Jhand Ho Gayi and Ek Villian as compared to no release during the current period
EBITDA (loss) is (` 77.1) million {(` 60.1) million in 9M FY15} Finance cost on loan taken from BTL ` 81.9 million (9M FY15 ` Nil) in accordance with Section 185 of the Companies Act, 2013
(Loss) after tax is (` 163.0) million {(` 55.7) million in 9M FY15}
Contd…… 23 Unique, Distinctive, Disruptive Amortisation Policy on Inventory
A] Television Serials: Inventories are valued at lower of cost and net realisable value. Cost is determined on the basis of average cost.
B] Movies: Items of inventory are carried at lower of cost and net realisable value. Cost is determined on the following basis:
− Films: Actual Cost
− Unamortised cost of films: The cost of films is amortised in the ratio of current revenue to the expected total revenue. At the end of each accounting period, balance unamortised cost is compared with the net expected revenue. If the net expected revenue is less than unamortised cost, the same is written down to the net expected revenue
Marketing and distribution expenses are charged to revenue in the period in which they are incurred and are not inventorised
24 Unique, Distinctive, Disruptive Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 - Bolt Media Limited(BOLT)
Results for Q3 FY16
Revenues at ` Nil million {` 46.7 million in Q3 FY15}
EBITDA (loss) is (` 0.8) million {(` 1.0) million in Q3 FY15}
Loss after tax is (` 2.0) million {(` 1.0) million in Q3 FY15}
Results for 9M FY16
Revenues at ` 6.7 million {` 111.0 million in 9M FY15}
EBITDA (loss) is (` 1.9) million {(` 0.1) million in 9M FY15}
(Loss) after tax is (` 3.0) million {(` 0.3) million in 9M FY15}
Contd……
25 Unique, Distinctive, Disruptive Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 - Marinating Films Private Limited(MFPL)
Results for Q3 FY16
Revenues stood at ` 3.8 million {` 2.55 million in Q3 FY15}
EBITDA (loss) is (` 1.2) million {(` 8.6) million in Q3 FY15}
(Loss) after tax is (` 1.2) million {(` 7.2) million in Q3 FY15}
Results for 9M FY16
Revenues stood at ` 33.3 million {` 2.55 million in 9M FY15}
EBITDA (loss) is (` 2.0) million {(` 8.6) million in 9M FY15}
(Loss) after tax is (` 2.0) million {(` 7.2) million in 9M FY15}
Contd……
26 Unique, Distinctive, Disruptive Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 - Event Media LLP(EML)
Results for Q3 FY16
Revenues stood at ` Nil {` 73 million in Q3 FY15}
EBITDA is ` 0.08 million {(` 9.3) million in Q3 FY15}
Profit after tax is ` 0.003 million {(` 9.3) million in Q3 FY15}
Results for 9M FY16
Revenues at ` 17.5 million {` 73 million in 9M FY15}
EBITDA is ` 2.0 million {(` 9.3) million in 9M FY15}
(Loss) after tax is (` 0.6) million {(` 9.3) million in 9M FY15}
27 Unique, Distinctive, Disruptive Financial & Operating Highlights – Consolidated / Subsidiaries
Q3 & 9M FY16 - Chayabani Balaji Entertainment Private Limited(CBEPL)
Results for Q3 FY16
EBITDA (loss) is (` 0.1) million
(Loss) after tax is (` 0.1) million
Q3 & 9M FY16 - Alt Digital Media Entertainment Limited(ALT)
Results for Q3 FY16
The expenses are mainly in the nature of salaries and other business overheads
EBITDA (loss) is (` 16.0) million
(Loss) after tax is (` 16.7) million
28 Unique, Distinctive, Disruptive Financial Performance – Q3 FY16 (Consolidated)
Total Income EBIDTA 715 732 126
528
65
. . Million . Million
Rs Rs
-69 Q3 FY15 Q2 FY16 Q3 FY16 Q3 FY15 Q2 FY16 Q3 FY16
PAT Q3 FY16 includes income from investments amounting to ` 43.8 million (Q3 FY15: ` 24.7 73 66 million)
Improving operating efficiencies of shows in BTL
leading to growth in EBITDA
. . Million Rs
-70 Q3 FY15 Q2 FY16 Q3 FY16
29 Unique, Distinctive, Disruptive Financial Performance – 9M FY16 (Consolidated)
Total Income EBIDTA 2,657 241
2,006
. . Million
. . Million
Rs Rs
9M FY15 9M FY16 9M FY15 9M FY16 -20
Income for the previous period was higher due to PAT release of movies namely Main Tera Hero, Kuku 160 Mathur Ki Jhand Ho Gayi and Ek Villan as compared to no movie released during the current period
Improving operating efficiencies of shows in BTL
leading to growth in EBITDA
9M FY15 expenses includes ` 46.18 million provided . . Million
Rs as provision for diminution in the value of investments -40 9M FY16 includes income from investments amounting to ` 114.4 million (9M FY15: ` 36.7 9M FY15 9M FY16 million) 30 Unique, Distinctive, Disruptive Financial Performance – Q3 & 9M FY16 (Consolidated)
` in Million
YoY Comparison QoQ Comparison YoY Comparison Particular
Q3 FY16 Q3 FY15 % PY Q2 FY16 % PQ 9M FY16 9M FY15 % PY Revenue from Operations 731.54 715.39 2% 528.46 38% 2,006.39 2,657.16 -24% Other Operating Income 54.91 12.55 338% 22.31 146% 88.84 29.67 199% Total Operating Revenue 786.46 727.94 8% 550.77 43% 2,095.23 2,686.82 -22% Cost of Production 541.4 691.36 -22% 367.42 47% 1,510.64 2,366.91 -36% Gross Margin 190.14 24.03 691% 161.04 18% 495.75 290.25 71% Gross Margin % 25.99% 3.36% - 30.50% - 24.71% 10.92% - Staff Cost 48.93 41.86 17% 49.53 -1% 140.17 116.37 20% Other Cost 46.11 42.61 8% 42.82 8% 127.81 162.46 -21% Professional Fees 24.01 21.2 13% 25.65 -6% 75.53 60.91 24% EBITDA 126.01 -69.09 - 65.35 93% 241.08 -19.82 - Depreciation 26.34 21.09 25% 21.68 22% 69.18 61.93 12% Other Income 47.9 34.31 40% 63.41 -24% 123.66 58.66 111% Finance Cost - 2.6 - - - 0.05 2.87 - PBT 147.57 -58.47 -352% 107.09 38% 295.5 -25.96 - Current tax 81.18 11.08 633% 34.26 137% 135.33 13.86 876% PAT 66.39 -69.55 - 72.83 -9% 160.17 -39.82 - Share in the profit/(loss) of associates -0.09 -0.02 - 0.02 - -0.14 0.05 - Net Profit 66.3 -69.57 - 72.85 -9% 160.03 -39.77 -
31 Unique, Distinctive, Disruptive Financial Table – Q3 FY16 (Consolidated)
` in Million
BTL BMPL BOLT EML MFPL ALT CBEL BTL Sr. Particulars Eliminations Q3 2015-16 Consolidated No Q3 2015-16 Standalone
1 a) Net Sales / Income from Operations 720.32 11.22 ------731.54
b) Other Operating Income 51.15 - - - 3.76 - - - 54.91
Total 771.48 11.22 - - 3.76 - - - 786.46
2 Expenditure a) Cost of movie Production 515.76 22.01 0.40 (0.34) 3.57 - - - 541.40
b) Staff Cost 31.84 8.40 - - 1.04 7.64 - - 48.93
c) Finance Cost - 81.93 1.12 0.52 - 0.65 - 84.22 -
d) Depreciation 24.35 1.86 0.06 - - 0.07 - - 26.34 e) Other Expenditure 43.38 17.29 0.41 0.26 0.35 8.37 0.07 - 70.12 Total 615.33 131.50 1.99 0.44 4.96 16.72 0.07 84.22 686.79 Profit / (Loss) from Operation Before Other Income 3 (1-2) 156.15 (120.28) (1.99) (0.44) (1.20) (16.72) (0.07) (84.22) 99.67
4 Other Income 131.58 0.09 - 0.44 - - - 84.22 47.90 Profit / (Loss) from Ordinary Activities Before Tax 5 (3+4) 287.73 (120.19) (1.99) - (1.20) (16.72) (0.07) - 147.57
6 Tax Expenses 81.18 ------81.18
7 Net Profit / (Loss) from continuing operations (5-6) 206.56 (120.19) (1.99) - (1.20) (16.72) (0.07) - 66.39
8 Share of (Loss) / profit of associates ------(0.09) Net Profit / (Loss) after tax, share of profit of 9 associates (7-8) 206.56 (120.19) (1.99) - (1.20) (16.72) (0.07) - 66.30
32 Unique, Distinctive, Disruptive Financial Table – 9M FY16 (Consolidated)
` in Million
BTL BMPL BOLT EML MFPL ALT CBEL BTL Sr. Particulars Eliminations 9M 2015-16 No Consolidated 9M 2015-16 Standalone
1 a) Net Sales / Income from Operations 1,915.97 38.09 5.32 17.50 29.50 - - - 2,006.39
b) Other Operating Income 81.29 1.28 1.40 - 4.88 - - - 88.84
Total 1,997.26 39.37 6.72 17.50 34.38 - - - 2,095.23 2 Expenditure a) Cost of Production 1,430.90 29.07 4.98 14.34 31.36 - - - 1,510.64 b) Staff Cost 91.55 32.17 2.01 - 3.32 11.12 - - 140.17 c) Finance Costs - 81.93 1.12 3.03 0.05 0.65 - 86.73 0.05 d) Depreciation 63.29 5.57 0.17 - 0.01 0.14 - - 69.18 e) Other Expenditure 129.67 55.24 1.59 1.20 1.73 13.74 0.18 - 203.34
Total 1,715.41 203.98 9.87 18.57 36.46 25.64 0.18 86.73 1,923.39 Profit / (Loss) from Operation Before Other Income 3 (1-2) 281.85 (164.61) (3.15) (1.07) (2.08) (25.64) (0.18) (86.73) 171.85 4 Other Income 208.24 1.57 0.14 0.44 - - - 86.73 123.66 Profit / (Loss) from Ordinary Activities Before Tax 5 (3+4) 490.08 (163.04) (3.01) (0.63) (2.08) (25.64) (0.18) - 295.50
6 Tax Expenses 135.33 ------135.33
7 Net Profit / (Loss) from continuing operations (5-6) 354.75 (163.04) (3.01) (0.63) (2.08) (25.64) (0.18) - 160.17 8 Share of (Loss) / profit of associates ------(0.14) Net Profit / (Loss) after tax, share of profit of 9 associates (7-8) 354.75 (163.04) (3.01) (0.63) (2.08) (25.64) (0.18) - 160.03
33 Unique, Distinctive, Disruptive Television About BTL
Television and Film has been the foundation stone of Current programmes like Meri Aashiqui Tum Se Hi, Balaji Telefilms Limited (BTL) KumKum Bhagya, Yeh Hain Mohabbatein, Itna Karo
Rich experience in entertainment and a proven ability Na Mujhe Pyaar, Kalash _ Ek Vishwaas, Yeh Kahan Aa in gauging the pulse of masses Gaye Hum, Naagin and Pyaar Ko Ho Jaane Do, are well accepted by viewers, reflected in its strong Past track record has been exemplary with a string of ratings on Broadcast Audience Research Council hit shows in Hindi and Regional television (BARC) platform Some of our past successes are Kahaani Ghar Ghar Gumraah, Savdhan and MTV-Webbed - examples of Ki, Kyunki Saas Bhi Kabhi Bahu Thi, Kasauti Zindagi new, younger genres of content that has seen success Ki, Kahin Toh Hoga, Kkusm, Kasamh Se, Bade Ache Lagte Hain, Kaahin Kissi Roz, Pavitra Rishta, Bade Serials broadcast across all channels including Star, Achche Lagte Hai, Jodha Akbar, Kuch Toh Hai Tere Sony, Colours, Zee, Doordarshan, Channel V , Life Mere Darmiyaan OK, &TV and PAL
Entry of newer broadcasters and digital platforms - leading to more demand for variety and content
35 Unique, Distinctive, Disruptive Key Revenue Drivers - Television
Commissioned programming is the key revenue driver for the television division
Improving realisation in Commissioned programming
Television revenues expected to expand owing to demand from satellite channels for our premium television serials
Kum Kum Bhagaya, Jodha Akbar, Yeh Hain Mohabbatein and Pavitra Bandhan are all amongst the top 30 programs
India is the world’s third largest television market in terms of number of households (Source –FICCI-KPMG Indian Media & Entertainment Industry Report 2015)
36 Unique, Distinctive, Disruptive Motion Pictures Business Overview - Motion Pictures
Leveraging creative abilities and experience to Past track record has been exemplary with a string of produce films with rich and well appreciated content hit movies in Hindi and focus is on to create sequels yet maintaining efficient cost structures and prequels:
Successful offerings till date include ‘Raagini MMS’, Hugely successful model internationally – Harry ‘Shor In the City’, ‘Once upon a time in Mumbai’, Potter, Batman, X-Men, American Pie ‘Shootout at Lokhandwala’, ‘Kya Kool Hain Hum’ and Strong brand franchise – easier acceptance and ‘The Dirty Picture’, ‘Ek Thi Dayan’, ‘Shootout at connect with the audiences Wadala’, ‘Lootera’, ‘Once Upon a Time in Mumbai Dobaara’, ‘Shaadi Ke Side Effects’ ,‘Raagini MMS 2’, ‘Main Tera Hero’, ‘Kuku Mathur Ki Jhand Ho Gayi’ and ‘Ek Villian’
38 Unique, Distinctive, Disruptive Key Revenue Drivers - Television
Content Library:
Owns a film library of 25 films till date
Diversified, balanced product mix of Movies
Swiftly ramping up scale and output
Opportunity to exploit old content on new emerging platforms
Provides stable, recurring cash flows and de-risks the business model
39 Unique, Distinctive, Disruptive Key Revenue Drivers - Films
Rapidly expanding number of multiplexes along with rising average ticket prices resulting in growth opportunities and better reach
Audiences acceptance for newer genre movies and their ability to spend for a better cinematic experience
Balaji’s content portfolio comprises of more than 20 films - expected to hit the silver screen in the near term
Many countries offer rebates for film shoots resulting into lower cost of production
Film catalogue monetised through television syndication deals by providing digital content for DTH satellite, Music, IPTV & Video on Demand and Internet Channels
40 Unique, Distinctive, Disruptive Business Essential
Forward and Backward Integration Distribution and marketing
Strong content creativity leading to better scripts Theatrical rights sold closer to the date of release
Setting up of distribution networks in Mumbai and to achieve optimal value Delhi territories Presence across large, medium and small
Long standing relationships within the film budgeted movies – Ability to bundle the package fraternity with broadcasters Leverage on strong industry relationships and Satellite Syndication experience
Exploring best possible deals for cable & satellite licensing deals including music rights Strategic Partnerships
Pre-licensing deals help de-risk the Company’s Co-production with leading production houses like revenues assuring returns Sony, Phantom, etc. Tying up with well regarded star casts and Robust Movie Slate directors
Building a strong movie pipeline including small, Creative intelligence in production medium and high budget films for the next couple of years
41 Unique, Distinctive, Disruptive Investor Contact
Sanjay Dwivedi (Group CFO) Gavin Desa / Rabindra Basu
Simmi Singh Bisht (Group Head - Secretarial)
Balaji Telefilms Limited Citigate Dewe Rogerson
Tel: +91 22 4069 8000 Tel: +91 22 6645 1237/ 1248
Fax: +91 22 4069 8288 Fax: +91 22 6645 1200
E-mail: [email protected] Email: [email protected]
For further information please visit: http://www.balajitelefilms.com
42 Unique, Distinctive, Disruptive Thank you
Unique, Distinctive, Disruptive